Jacobin Radio Confronting Capitalism: The Golden Age of Social Democracy
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Dec 24, 2025 
Vivek Chibber, a sociology professor and editor of Catalyst, delves into the rise of social democracy post-World War II. He explores how unique political openings and economic growth allowed for significant welfare advances. Chibber highlights the role of unions in pushing social democratic victories and the resulting improvements in inequality and health. However, he also discusses the tensions between parties and unions, the shift from socialist ambitions to pragmatic reforms, and the factors leading to the decline of social democracy.
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Postwar Political Opening Enabled Social Democracy
- After WWII, Europe's ruling elites were politically weakened while unions and left parties gained prestige and strength.
- That political opening, combined with postwar economic expansion, created ideal conditions for social-democratic advance.
Economic Growth Made Redistribution Feasible
- Rapid postwar growth expanded the economic pie and tax revenues, making broad social programs feasible.
- High productivity let unions win wage gains and governments fund pensions, healthcare, and education.
Growth Muted Labor–Capital Conflict
- Fast growth muted class conflict since rising profits let capital absorb higher wages and taxes.
- Employers often preferred to "go along to get along" rather than face disruptive strikes.